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Further signs that the Chinese authorities are beginning to get to
grips with the CSR agenda have come from a leading lawmaker in the
Beijing government, who has attacked companies that blindly pursue
profit and neglect their social
responsibilities.

Cheng Siwei, vice-chairman of the standing committee of the National
People’s Congress, condemned reckless practices in which private coal
mine bosses are pushing farmers to work in hazardous conditions, food
company managers are using cheap industrial materials in products for
human consumption, and factories are discharging torrents of pollution.

He said: ‘The practice is serious and widespread among Chinese firms. Like other countries, China can no longer tolerate it.’

Cheng said domestic and foreign enterprises operating in China were
equally as guilty and warned: ‘Even in developing countries, foreign
companies that turn a blind eye to their social responsibilities will
be kicked out of the market.’

One reason, he said, was that such practices prevented Chinese companies from expanding their business overseas.

Cheng, who made his attack in an article in China Economy Weekly,
called for severe penalties for companies that shirk their social
responsibilities. Their conduct, he said, was unfair to responsible
businesses.